What is PASSIVE RETENTION?

When a company unexpectedly retains risk leading to losses. This usually occurs when they are not properly managing their reserves or self insurance. Refer to retention and risk retention

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Related Legal Terms
RISK RETENTION, RISK RETENTION GROUP, RETENTION OF RISK, NET RETENTION, PASSIVE INVESTMENT STRATEGY, RECORD RETENTION SCHEDULE, RETENTION BOND, SELF-INSURED RETENTION (SIR), PASSIVE ACTIVITY LOSS RULES, RETENTION RATE


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